General Motors will boost the size of its hotly-anticipated initial public offering by 30 percent, CNBC has confirmed.
This move increases the number of shares expected to price Wednesday evening to 478 million shares, putting the automaker on track to raising $22.4 billion in total, the largest IPO in U.S. history.
The U.S. Treasury owns nearly 61 percent of GM as a result of its $50 billion taxpayer-funded bailout, but a boost in the IPO size would reduce this stake to about 26 percent.
CNBC reported on Monday that GM was expected to raise its IPO price to between $32 and $33 a share.
Raising the offering size is good news for U.S. taxpayers, making GM's controversial government bailout less costly than originally anticipated.
What’s the trade?
They must be very confident, says Karen Finerman. If there was ever a bad day to price a deal it would be Tuesday. I would imagine that at some point it will be included in the S&P.